With Auckland still in a Level 4 lockdown, it means businesses in Aotearoa's largest city are facing extended restrictions and a tougher deal all round when it comes to financial support.
For hospitality businesses around the country, the new Delta Level 2 rules have thrown another challenge to an industry already struggling.
Now hospitality busineses in Auckland are calling on the Government to provide more and fairer support.
Mandy Lusk, co-owner of Vivace restaurant in Auckland's CBD, told Breakfast on Wednesday the most recent lockdown has had a “horrendous” impact on her business and staff.
“While most New Zealanders can be at home - often on full pay – our staff are stuck in tiny apartments living in the city and there is nothing for them to do, they can’t work at all,” Lusk said.
“While the wage subsidy is helping, we don’t have any income and I don’t know if a lot of people in New Zealand realise that the 20 per cent of the last 18 months, we’ve been banned from earning a cent, effectively.
“And then, another 16 per cent on top of that is Level 2 where we’ve been forced to trade at 50 per cent of our capacity.
“Now, it’s looking even worse – if and when we get to Level 2, it’s going to be a disaster.”
Making matters worse in Auckland is the current wage subsidy system which means businesses running at Alert Level 2 can still get the financial support while there is a region elsewhere in Level 3 or higher.
However, when Auckland moves down levels to join the rest of the country, that rule will no longer apply.
Lusk said putting aside that discrepancy, Level 2 in itself is still brutal for hospitality businesses.
“There are an awful lot in our industry that can’t even trade at Level 2,” Lusk said.
“Nightclubs can't open at all and some of those bigger restaurants and bars will be restricted to 20 per cent of their capacity and even smaller ones like us will be restricted to 20 to 50 per cent of the ability to trade.
“It’s just not viable.”
Lusk added Auckland hospitality businesses needed a bigger resurgence support payment from the Government as well.
“For every week we’re at Level 2, 3 and 4, most of us are going backwards,” she said.
“If there isn’t this targeted assistance, there are so many businesses that are going to collapse and it’s going to be negligent.
“We can see that it’s going to happen – it’s been going on and getting worse all the time.”
As such, Lusk said the hospitality industry should receive more support as it is suffering more than other sectors.
“We are literally banned from earning a cent at Level 3 and 4.
“We just don’t think it’s very fair that you can compare industries that are forced by law not to trade at all to be compared exactly the same as a business that can work from home.”
SHARE ME